U.S. Gulf:
NOLA barges were put at $320-$332/st FOB, up considerably from the week-ago $295-$300/st FOB. Sources said availability for river close barges was very tight. Some sources believed prices could move up to IOC’s $340/st FOB posting for PCI product.
Eastern Cornbelt:
The ammonium sulfate market was pegged at $335-$370/st FOB in the Eastern Cornbelt, with the low at Cincinnati. AdvanSix on Aug. 11 reported that its granular ammonium sulfate price in the Midwest and Plains regions is now $370/st FOB river terminals, up $40/st from the company’s June 28 postings. The company said inland warehouses will continue to be priced at traditional spreads to the river.
AdvanSix also announced that it is raising the price of granular ammonium sulfate to $315/st FOB Hopewell, Va., effective Aug. 18. The new posting reflects a $15/st increase from the previous price at Hopewell.
Western Cornbelt:
Ammonium sulfate prices were quoted at $325-$370/st FOB in the Western Cornbelt, with the low reported at St. Louis. Sources reported reference prices as high as $385-$395/st FOB Sioux City, Iowa, although no actual business was confirmed at those levels.
California:
Granular ammonium sulfate prices were higher in California. The market was quoted at $365/st FOB Stockton in early August, reflecting a $40/st increase from last report. Postings for standard grade remained as low as $318/st FOB Chico and Woodland.
Pacific Northwest:
The ammonium sulfate market was moving up in the Pacific Northwest. IRM’s ammonium sulfate postings in Oregon, Washington, Idaho, Utah, and Montana firmed $20/st on July 30, to $383/st FOB or DEL for Tranzform and WesternPremium, and $350/st FOB or DEL for WesternStandard.
Western Canada:
Ammonium sulfate prices were pegged at C$505-$510/mt DEL in Western Canada, also up slightly at the lower end of the range.
China:
Sales to buyers in Southeast Asia showed a netback of $200-$205/mt FOB for caprolactam-grade ammonium sulfate, meeting producers’ expectations of last week. Now producers are pushing for $212-$215/mt FOB, a level international traders said is not sustainable.
The move up in pricing is being attributed to steady demand for the product and increased production costs. Buyers are still looking at ammonium sulfate as a substitute for urea in NPK production. As the urea price goes down, however, sources expect to see a similar downward push on amsul prices.
Brazil:
The ammonium sulfate market in Brazil is quiet. Sources reported the Paranagua price at $315-$345/mt CFR for granular amsul, showing a drop in the lower end, but a sustained higher end price.
Industry sources were hard pressed to explain the price drop, especially given the steady demand for product and higher inland prices.
Rondonopolis pricing was reported at $410-$470/mt FOB ex-warehouse, reflecting a $10-$13/mt increase. Demand for amsul remains steady, because urea prices remain high enough to encourage the use of a substitute in NPK production.